It’s good news that the needle has moved in the conversation about diversity in the workforce. The importance and benefits of having a diverse team and an inclusive environment are well documented, the data around the topic is clear, and the positive impacts to the financial results of any business have been demonstrated. Unlike in the past, we don’t need to spend a lot of time talking about why workforce diversity should be encouraged and achieved.
That said, there’s a lot more that needs to be done to realise workforce diversity on the ground, so I would like to share some practical steps and observations about how to achieve it. At Silicon Valley Bank, we have our own procedures in place to facilitate diversity, but we are also in a position to share observations across our client base, which consists of innovation businesses of all life stages, as well as VC and PE funds. Here, I can share with you practical steps that we are seeing, as well as what we are doing, to accelerate positive change on this topic.
Start early
Don’t wait to tackle diversity issues within your company or fund as they will only get more complex. Each week it feels like our team is meeting with an entrepreneur starting their journey. Building a diverse team and embedding good practices and the right culture from day one helps enable and encourage diversity moving forwards. This need is amplified for VC funds, of which I know of no less than six new ones being raised right now. Creating a diverse partnership is critical as it’s very hard to change partnerships after formation. Additionally, I believe this will also have a direct positive correlation in increasing the number of female and minority-led businesses attracting VC....